RATEWAVE TARIFF SERVICES, INC.
CIRCULAR No. 10
TARIFF RATE FILING REFERENCE GUIDE FOR
NON-VESSEL-OPERATING COMMON CARRIERS (NVOCCs)
Under United States Law (Shipping Act of 1984, as amended) no Carrier (including Non-Vessel-Operating Common Carriers) may charge, collect or assess any freight or assessorial charges that have not been lawfully filed and remain in effect in that Carrier’s electronic Tariff. The Federal Maritime Commission (FMC) has been given the power to enforce this law. The FMC, under regulations published in the U.S. Code of Federal Regulations 46 CFR 520, specifies the form and manner in which all lawful rates and charges shall be published, amended, maintained and kept open to the public. This Tariff Rate Filing Guide has been prepared to guide you through the process of filing and amending rates and charges through RateWave Tariff Services, Inc. Should you have any questions regarding a specific rate or charge filing request you may contact us by telephone at 703-467-0825, by Facsimile at 703-467-0926 or by e-mail at firstname.lastname@example.org.
- An NVOCC is required to file and maintain in its electronic Tariff, all rules, regulations, terms and conditions governing the transportation of cargo by an NVOCC which is provided pursuant to a House Bill of Lading (HB/L) issued by such NVOCC. The FMC assumes that when a Carrier’s Tariff is silent regarding a specific service or situation, the NVOCC will provide such service, or handle such situation, without the assessment of an additional charge.
- An NVOCC is required to file and maintain in its electronic Tariff, all freight rates to be assessed for transportation service. Freight rates must be stated in a plain, exact manner. The NVOCC may NOT charge freight charges higher than or lower than the applicable rate published and maintained in its Tariff. Should an NVOCC assess a rate higher or lower than the one published in its Tariff, the NVOCC may be subject to a fine of up to a maximum of $25,000 per shipment per each day the rate is not effective.
- Shipments accepted from other NVOCCs (Co-Load Service) are subject to all rules, regulations, rates and charges published in the receiving NVOCC’s electronic Tariff when the receiving NVOCC issues the tendering NVOCC a House B/L. (FMC regulations state explicitly that when a receiving NVOCC issues a House B/L to a tendering NVOCC a Shipper-to-Carrier relationship exists and Carrier-to-Carrier Agreements may not be used.). FMC regulations prohibit the publication of Tariff rates applicable only for Co-Load Service.
- An NVOCC is required to file and maintain in its electronic Tariff, all assessorial charges related to the transportation service that appear on the NVOCC’s HB/L and/or Freight Invoice. As in the case of freight rates, an NVOCC may not assess any additional charge that is higher than or lower than the applicable assessorial charge listed in its Tariff. An NVOCC can be fined up to a maximum of $25,000 per shipment per each day the assessorial charge is not in effect. Some of the most common assessorial charges are BAF, CAF, THC, Panama Canal Transit Fee, Security Charges, AMS Charges, War Risk Charges or Peak Season Surcharges.
An NVOCC is
required to file and maintain in its electronic Tariff the exact amount of
Freight Forwarder Compensation to be paid by such NVOCC on shipments exported
- An NVOCC is not required to file and maintain in its electronic Tariff any third party charges collected as a “Pass Through” on behalf of the cargo interest, and for which the NVOCC has been separately invoiced. To qualify as a true third party charge which does not have to be filed in the Tariff, all charges must be passed through at cost. An NVOCC cannot absorb any portion of, nor mark up, a third party charge. If an NVOCC absorbs any portion or, or marks up any portion of a third party charge, the total charge assessed to the cargo interest must be filed in its Tariff. Additionally, if an NVOCC assesses any handling charge for advancing/processing third party charges, such handling charge must be published in the NVOCC’s Tariff.
- An NVOCC is not required to file and maintain in its electronic Tariff all Co-Load freight rates when such Co-Loaded cargo moves pursuant to an NVOCC Carrier-to-Carrier Agreement PROVIDED the receiving NVOCC does not issue a House B/L to the receiving NVOCC and PROVIDED the two NVOCCs have a signed Carrier-to-Carrier Agreement in effect.
- An NVOCC is not required to file and maintain in its electronic Tariff all charges assessed for non-transportation related services which are performed prior to commencement of NVOCC transportation service at origin or performed after delivery of cargo at destination. For instance, trucking charges for pickup or delivery between a Shipper’s or a Consignee’s premises and Carrier’s terminals or warehouses when such service is NOT part of the NVOCC’s HB/L do not need to be included in the Tariff. Additionally, Sales Commission, Agent Splits, Packaging or Palletizing Charges (when performed prior to the start of the HB/L transportation service), or customs fees and taxes do not have to be filed in the NVOCC’s Tariff.
- An NVOCC is not required to file and maintain in its electronic Tariff the inland portions of any published through intermodal rate. However, if an NVOCC publishes only the ocean portion of a through intermodal service as the applicable rate, the NVOCC’s separate charge for the inland portion of the through transportation service does have to be published.
An NVOCC is not
required to file and maintain in its electronic Tariff Freight Forwarder
Compensation/Brokerage paid on shipments imported
- An NVOCC is not required to file and maintain in its electronic Tariff all freight rates published in a signed NVOCC Service Arrangement (NSA) that has been lawfully filed with the FMC and in its Essential Terms Tariff.
- New Tariffs covering new services . . . . Immediate notice
- Rate or Charge Reductions . . . . . . Immediate notice
- Rate or Charge Increases . . . . . . 30 days notice
- Adding New Ports or New Services . . . . Immediate notice
- Adding New Additional Charges . . . . . 30 days notice
- Canceling or Expiring Rates or Provisions . . . 30 days notice
- Amending Freight Forwarder Compensation
(Up or Down) . . . . . . . . Immediate notice
- RateWave has established Rate Filing Forms for the use of our clients on our Web Site: www.ratewave.com (click on the “Rate Filing Request” Button). However, these forms are designed for the filing of single commodity, single origin/destination rates. Additionally, NVOCCs may file rates using a spread sheet (such as Microsoft Excel), a plain text e-mail sent to email@example.com, or a Fax sent to (703-467-0926). When filing rates using any of these means please specify the following in each message:
i. Commodity description
ii. If Commodity is hazardous
iii. Origin (if inland point, also specify origin via port)
iv. Destination (if inland point, also specify destination via port)
v. Rate Basis (including Container Size and Type on FCL shipments)
vii. Minimum charge per B/L (on LCL Shipments when desired)
viii. Origin service (such as Door, CY, CFS, Rail Ramp…)
ix. Destination service (such as Door, CY, CFS, Rail Ramp…)
x. Name of underlying Steamship Line used (when desired)
xi. Expiration date of rate, if applicable
xii. Applicable surcharges or if rate is all-inclusive
xiii. Whether rate is subject to effective or pending GRIs in Tariff
xiv. Any other terms, conditions or information to make rate application clear
- When Filing Lumpsum rates, filer MUST include some type of maximum to restrict rate application. This can be expressed as a maximum number of containers, maximum weight, maximum cubic measurement, maximum cargo dimensions or maximum number of cartons, packages, etc.
- When filing rates on frozen, refrigerated or temperature controlled cargo please include the temperature controlled service provided – frozen, chilled, heated, ventilated and/or the temperature range guaranteed by NVOCC.